President,

This is a crucial time when the European Union needs to show its leadership globally, particularly on climate change and fighting poverty. But also, of course, in terms of governance internally. This issue is wider than the Member States. We must improve multi-level governance to address the "governance deficit" in the Lisbon Treaty. That means an integrated EU wide approach that recognises the importance of all the regions and sub-state governments. It also means clearly restating the aim of reducing regional disparities.

I will be welcoming President Barroso to Wales next week, and I am looking forward to showing him what a difference the funds have made to our economy and communities. Three quarters of my constituency in Wales currently receives structural funding to combat some of the highest poverty levels in Europe. To continue this progress in this and many other regions, regional funding must not be nationalised to the member states.

I urge the Council and the Commission not to jeopardise this EU assistance for long term sustainable development.

Ends.